Primary coverage
Professional Liability and Errors & Omissions (E&O) are generally the same coverage for inspectors. Here’s how it works, what a covered claim can involve, and why your retroactive date matters.
For property and home inspectors, Professional Liability Insurance and Errors & Omissions (E&O) Insurance generally refer to the same type of coverage. You’re not choosing between two products or buying both — when you see either term on this site, we mean the same policy.
This coverage is designed to help respond to certain covered claims alleging an error, omission, or act of negligence in the professional inspection services you provided — subject to the policy’s terms, conditions, and exclusions.
A common scenario: an inspector performs a pre-purchase inspection, the buyer closes, and sometime later discovers a condition — a foundation issue, a roof problem, an electrical concern — that they allege should have been identified or reported. Professional Liability / E&O is the coverage designed to respond to a covered claim of that kind, depending on the circumstances and the coverage selected.
It is not a guarantee that every claim is covered, and it does not mean every allegation results in a payout. Coverage is always subject to the specific terms, conditions, and exclusions of the policy issued.
Professional Liability / E&O for inspectors is typically written on a claims-made basis, which works differently from the occurrence-based coverage many people are used to. In simple terms, a claims-made policy generally responds to claims made against you during the policy period (or an applicable extended reporting period) for covered acts that occurred on or after your retroactive date.
That makes your retroactive date and continuous coverage history genuinely important. If you let coverage lapse and later restart it, work performed during the gap may not be eligible for coverage under the new policy. This is one of the most common points of confusion for inspectors switching carriers or agencies — ask your agent directly about how your retroactive date is being handled.
Some Professional Liability / E&O policies for inspectors include sublimits for administrative and disciplinary proceedings — for example, a complaint filed with a state licensing board — as well as certain regulatory proceedings. These sublimits are typically smaller than the main coverage limit and are subject to their own terms. Ask your agent what’s included on your specific policy.
General Liability is a separate coverage designed for eligible third-party bodily injury and property damage claims connected to your business operations — not the accuracy of your inspection findings. See our General Liability page for how the two coverages divide the risk.
Yes, generally. The terms describe the same coverage in this context: protection designed to help respond to certain covered claims alleging errors, omissions, or negligence in your professional inspection services.
Your retroactive date marks the earliest point in time that a covered act can have occurred for a claim to be eligible under a claims-made policy. If you switch carriers or let coverage lapse, ask specifically how your retroactive date will be handled — it can affect whether older work remains eligible for coverage.
No. Coverage applies only to certain covered claims as defined by the policy, and is subject to its terms, conditions, and exclusions. Not every allegation results in a covered claim, and not every covered claim results in payment.
Some policies include a sublimit for administrative and disciplinary proceedings, which can include certain licensing board matters, subject to the policy’s terms. Ask your agent what your specific policy includes.
Professional Liability / E&O is about the professional service you performed — the inspection itself. General Liability is about third-party bodily injury or property damage connected to your business operations, like an accident during a site visit. See our General Liability page for more detail.
The mechanics of E&O coverage are the same, but the claims scenario is often specific to residential pre-purchase inspections. See our Home Inspector E&O page for that context.
Property Inspector Insurance connects you with licensed agents who build your custom quote — typically back the same business day, subject to underwriting.
Get your free quote
Our licensed agents build your custom quote — typically same business day.